Allianz UK has signed a strategic agreement with Sainsbury’s Bank to provide home and motor insurance to the bank’s customers, in a move that expands the insurer’s reach in the UK retail market.
From November 1, 2025, Allianz UK, through its group company Liverpool Victoria Insurance Company, will begin offering replacement policies to Sainsbury’s Bank customers as their existing cover expires. The move comes as part of Sainsbury’s phased withdrawal from its banking business as it instead looks to switch to a model in which its products are delivered by brand partners.
Both companies cited a shared emphasis on digital service and simplified product offerings as a foundation for the agreement.
Serge Raffard (pictured above), managing director for personal lines at Allianz UK, said the arrangement builds on the insurer’s recent momentum in the market.
“This agreement is a proud moment for Allianz UK and I’m excited to bring our insurance expertise to support Sainsbury’s Bank customers with their future insurance needs,” Raffard said. “It underlines the strides we’ve made in the UK market over the past year as we seek to reach new customers and offer an increased choice of products.”
Bláthnaid Bergin, chief financial officer at Sainsbury’s, said Allianz was a suitable partner based on shared priorities. “It’s really important to us that we work with partners who share our values and customer focus, which is why I’m pleased to be announcing this new agreement with Allianz today,” she said.
Sainsbury’s withdrawal from its core banking business began in January last year. It was noted that car and home insurance customers do not need to take any immediate action.
The deal follows Allianz UK’s recent partnership with Volkswagen Financial Services UK and forms part of its strategy to grow its embedded insurance business and expand distribution across multiple channels.
The partnership also comes amid ongoing shifts in the UK home and motor insurance sectors. The motor market has faced rising claims inflation, driven by higher vehicle repair and replacement costs, while the home insurance segment has experienced volatility linked to escape of water claims, storm-related losses and inflation in materials and labour.
Meanwhile, insurers have responded with premium increases, more selective underwriting and a renewed focus on digital distribution and customer retention.
